Top 10 Benefits of Investing in Successful Franchise Business Models
What if your next investment could be a sure thing?
Most investments are risky by their very nature. But investing in successful franchise business models is another kind of investment altogether.
Wondering whether investing in a franchise is a good idea? Keep reading to discover the top 10 benefits of franchise investment!
1. Support and Training
Ask yourself: what has kept you from starting your own business before? Many people worry about going into business for themselves because they don't fully understand the ins and outs of being an entrepreneur and manager.
But by investing in successful franchise business models, you get more than a proven business. You also get all of the training and support you need from the franchisor.
Whether it's training for you or training for your staff, the franchisor is there to help your business succeed.
2. No Experience Necessary
Another thing that sometimes holds investors back is their lack of experience. For example, you might think you need to be an expert in cleaning and janitorial services before you join a cleaning franchise.
However, this goes back to our point that the franchisor will offer all of the support you need. That support and training aren't limited to the business end: they will also help you master the skills necessary to thrive in your new industry.
If you happen to have experience in the field, that's always a nice bonus. But no experience is necessary to get started!
3. Easy Investment Capital
Arguably, the biggest obstacle to starting a new business is getting the capital you need. When you're starting a business from scratch, you have to convince the lender that your unproven business will actually be successful. Depending on the business, the lender may be very skeptical of approving any loans.
But the whole point of investing in a franchise is that you are investing in a proven name with a proven track record. The lender will understand this and you will have a much easier time securing financing.
4. Ready-Made Brand
Assuming that you were able to get funding, one of the other major obstacles of a new business is building your brand. It can take many years and countless hours to transform your business from one that nobody has heard of to one that most people know and trust.
But the beauty of investing in a franchise is that you get a "ready-made brand." The name is already well-established and the business model is successful. Ultimately, you can invest in a particular franchise and "hit the ground running" with a successful business and brand!
5. A Name to Trade On
When it comes to your effective "buying power," lenders aren't the only party you must worry about. You will also be negotiating with local and even global businesses to secure additional supplies and support.
For a relatively unknown business, such negotiations may be difficult because your business is an unknown quantity. But with a franchise, you effectively have a successful name to trade on.
You have the support of a successful franchisor behind you. Once other parties realize this, it will make your future negotiations that much easier.
6. Low Failure Rate
Some of the benefits of investing in successful franchise business models are fairly simple. For instance, one of our favorite reasons is that your risk of failure is much lower than you might think.
Many small businesses eventually fold (only 50% survive the first five years) due to issues with financing, branding, training, and sales. But being part of a franchise helps you get funding, secure a ready-made brand, and have access to extensive training and support. Even sales will come easier than you imagine (more on this soon).
Put it all together and you get a recipe for a very low failure rate.
7. Existing Customers
The ultimate goal of branding is, of course, to bring in more customers. If you can't secure enough customers in a short enough period of time, the failure of your business is almost inevitable.
With a franchise, you benefit from the simple fact that you have an existing base of customers. They like your brand and already associate your name with high-quality, professional service. And the name-brand recognition will carry your business far in terms of attracting brand new customers as well.
8. More Profit
As you might imagine, taking on a successful brand and inheriting an existing base of customers adds up to additional profit. Your business won't just be staying afloat: you get to enjoy the success of a profitable business almost right away.
Why take on all the sleepless nights and risk-taking of starting a brand new business when you can enjoy the immediate success of a proven franchise?
9. A Network of Support
Earlier, we mentioned how your franchisor will offer immense training and support. But did you know that you'd have an extensive network of support that extends beyond the franchisor?
Once you join the franchise, you can always reach out to existing franchises when you have questions or concerns. This is especially helpful if you are new to the industry or new to running a business.
You can rest assured that you won't be alone when you get started and you won't be alone for the duration of your business. Instead, all of the franchisee support you may need is just a phone call or email away!
10. Become Your Own Boss
The ultimate joy of running your own business is being your own boss. You don't have to worry about other people telling you what to do all of the time. And there are no real obstacles to you bringing the vision of this business to life.
By taking on a successful franchise, most of the "annoying" parts of being the boss (including training employees, getting funding, and establishing a brand) are much easier. In short, you get to enjoy all the benefits of starting your own business with almost none of the headaches that usually come with the territory.
Investing in Franchise Business Models: What's Next?
Now you know the benefits of investing in franchise business models. But do you know how to get started right away?
If you've ever wanted to run a commercial cleaning business, we have the franchise for you. And you don't have to wait: you can apply to join the team today!
Ready to be your own boss?
Learn more about becoming a business owner with OpenWorks.Apply Now